The second wave is now being led by the growth of internet subscribers and investments in telecommunication infrastructure, said Aruna Sundararajan.

The investment of $100 billion in the Indian telecom industry as envisioned in the National Digital Communications Policy 2018 (NDCP) would result in an increase of $1.21 trillion in India's Gross Domestic Product (GDP) on a cumulative basis, a report said here on Thursday.

Currently, India is a $2.5 trillion economy. The joint report by Indian Council for Research on International Economic Relations and Broadband India Forum also said that a 10 per cent hike in investment in the country's telecom sector may lead to an increase of 3.3 per cent in the country's GDP on an average.

"The multiplier effect of investment in communications implies that the $100 billion investment envisioned in the new policy could cumulatively add $1.21 trillion (Rs 78,90,711 crore) to the GDP over the duration of the proposed investment," the report said.

"These are significant impacts and yet could be underestimated given that penetration of internet is still below international levels," it added.

Speaking at the launch of the report, Aruna Sundararajan, Secretary, Department of Telecommunications stated: "While the first wave of mobile revolution heralded a new age of growth and dynamism to the economy, the second wave is now being led by the growth of internet subscribers and investments in telecommunication infrastructure, leading to exponential benefits to the economic and GDP growth."

It is critical therefore for states across India to leverage it to ensure greater direct and spill-over benefits, she added.